A false positive error, or in short false positive, commonly called a "false alarm", is a result that indicates a given condition has been fulfilled, when it actually has not been fulfilled. I.e. erroneously a positive effect has been assumed. In the case of "crying wolf" – the condition tested for was "is there a wolf near the herd?"; the actual result was that there had not been a wolf near the herd. The shepherd wrongly indicated there was one, by calling "Wolf, wolf!"

A false positive error is a type I error where the test is checking a single condition, and results in an affirmative or negative decision usually designated as "true or false".[1]

A false negative error, or in short false negative, is where a test result indicates that a condition failed, while it actually was successful. I.e. erroneously no effect has been assumed. A common example is a guilty prisoner freed from jail. The condition: "Is the prisoner guilty?" is true (yes, the prisoner is guilty). But the test (a court of law) failed to realize this, and wrongly decided the prisoner was not guilty.

A false negative error is a type II error occurring in test steps where a single condition is checked for and the result can either be positive or negative.[2]

In statistical hypothesis testing, this fraction is given the Greek letter α, and 1−α is defined as the specificity of the test. Increasing the specificity of the test lowers the probability of type I errors, but raises the probability of type II errors (false negatives that reject the alternative hypothesis when it is true).[a]

Complementarily, the false negative rate is the proportion of positives which yield negative test outcomes with the test, i.e., the conditional probability of a negative test result given that the condition being looked for is present.

"It is better that ten guilty persons escape than that one innocent suffer",

that is, that false negatives (a guilty person is acquitted and escapes) are far preferable to false positive (an innocent person is convicted and suffers). This is not universal, however, and some systems prefer to jail many innocent, rather than let a single guilty escape – the tradeoff varies between legal traditions.

^When developing detection algorithms or tests, a balance must be chosen between risks of false negatives and false positives. Usually there is a threshold of how close a match to a given sample must be achieved before the algorithm reports a match. The higher this threshold, the more false negatives and the fewer false positives.